TEXAS WOMAN'S UNIVERSITY

TWU HUMAN RESOURCES OPERATING POLICY

50.11

SUBJECT:                       Longevity Pay

DATE PASSED:               October 6, 1998

DATE REVIEWED:            April, 2006

REVIEW NEXT BY:           April, 2011

PURPOSE
The purpose of this Texas Woman's University Operating Policy and Procedure (TWU OP) is to identify policy guidelines for longevity pay.

POLICY/PROCEDURE

1.  Policy

Each regular full-time nonacademic employee of TWU who qualifies under the eligibility provisions of this policy, shall be entitled to longevity pay at the rate of $20 per month for every two years of lifetime service credit as an employee of the State up to and including 42 years of service. Such pay shall commence at the end of the second year of State service and shall be increased at the end of each two years thereafter.

2. Eligibility

a. Regular full-time nonacademic employees, excluding law enforcement officers eligible for hazardous duty pay under provisions of State law, are entitled to longevity pay upon completion of two years of State service. A regular full-time employee is defined as one who is 100 percent time for at least four and one-half continuous months or for a semester of more than four months, excluding students holding positions for which student status is a requirement for employment. For the purpose of determining eligibility for longevity pay, a nonacademic employee is defined as one who is not, for any portion of the month involved, engaged in teaching academic courses and/or whose salary is not, for any portion of the month involved, paid from faculty salary appropriations.

b. Specific rules for determining longevity pay eligibility are:

    (1) An employee who qualifies under the eligibility definitions cited above on the first day of the month is entitled to longevity pay for that month, provided none of the employee's salary for any part of the month is paid from faculty salary appropriations nor any of the employee's effort during that month is devoted to teaching academic courses.

    (2) An eligible employee who enters leave-without-pay status or who terminates State employment after the first day of the month is entitled to full longevity for the month. Longevity pay is not required to be prorated.

    (3) An eligible employee who transfers from one State agency to another State agency after the first day of the month is entitled to payment of full longevity pay for the month by the State agency employing the individual on the first day of the month.

    (4) Longevity pay will not be considered in the calculation of the lump-sum vacation pay of an eligible employee who terminates State employment or the calculation of vacation and sick leave death benefits payable to the estate of a deceased employee.

3. Creditable Service

a. For purposes of determining the years of State service of an employee for longevity pay, all prior employment with TWU or with any other agency or institution of the State of Texas or State legislative service shall be counted, except for service with independent school districts or junior colleges, which shall not be counted. Prior service is to be counted regardless of method of salary payment (hourly, monthly, etc.), length of appointment, percentage of fulltime worked, continuity of service, or eligibility for longevity pay in a prior position.

b. One month's service is to be counted for each month or fraction of a month of employment. In cases of breaks in service, one month shall be counted for fractional months of employment at the beginning and the end of each appointment; however, in no case shall more than one month's credit be granted for a single calendar month.

c. Employees previously employed by other institutions and agencies of Texas shall provide to the Office of Human Resources (OHR) statements from their prior employers containing the beginning and ending dates of each period of employment. This documentation shall be retained in the employee's personnel file.

d. A former employee who left a position of employment with TWU for the purpose of entering active military service is entitled upon return to employment with TWU to have the time on active duty, not to exceed five years, counted as creditable service for purposes of longevity pay entitlement. Documentation showing the period of military service will be furnished by the employee and retained on file by the OHR.

4. Payroll Deductions. Payroll Changes and Distribution of Labor Cost

Longevity pay is an integral part of each eligible employee's gross compensation and is subject to the same payroll deductions (Federal Income Tax, Social Security Tax, and Retirement). However, longevity pay is not considered in determination of the amount of any group insurance coverage.

a. Longevity pay received by an employee will be allocated to direct and/or indirect costs of grants and contracts on the same basis as the regular salary of the employee.
 

Approvals:

                 Associate Vice President of Human Resources

                    Manager of Payroll

                    Vice President of Finance and Administration